Plume affiliate Kimber Digital Securities secured registration with the Securities and Exchange Commission and membership in the Financial Industry Regulatory Authority as a U.S. broker-dealer, the company announced November 10. The approval allows KDS to conduct broker-dealer activities connecting investors using self-custodial wallets with securities entitlements tied to assets held through the Depository Trust Company. The registration creates a regulated route for Plume to distribute tokenized securities to U.S. investors, with the platform expected to launch in the first half of 2027. The structure builds on DTC's tokenization program, which received SEC staff no-action relief in December 2025 and launched its Tokenization Service in 2026.
KDS Secures SEC Registration and FINRA Membership
The SEC registration and FINRA membership announced November 10 authorize KDS to conduct broker-dealer activities within U.S. securities markets. The approvals are intended to connect investors using self-custodial wallets with securities entitlements tied to assets held through the Depository Trust Company. Plume expects the new platform to launch in the first half of 2027.
The distinction from many existing tokenized-stock products centers on legal structure. KDS plans to represent an investor's existing securities entitlement within the U.S. intermediated ownership system rather than issue a separate synthetic token providing only economic exposure to a stock or fund.
KDS Plans DTC-Based Securities Entitlement Structure
U.S. securities held through brokers generally sit within a layered ownership structure. DTC holds securities through its nominee, while broker-dealers maintain entitlements at DTC and customers hold corresponding security entitlements through their brokers.
KDS plans to represent that customer-level entitlement onchain. The token would therefore record a position within the existing securities infrastructure rather than function as a detached wrapper around an asset held elsewhere. Eligible positions could include stocks, ETFs and bonds and are intended to retain the economic and investor rights associated with the conventional security entitlement, including dividends and voting rights where applicable.
The structure builds on DTC's own tokenization program, which received SEC staff no-action relief in December 2025. DTC subsequently launched its Tokenization Service in 2026, initially covering selected equities, ETFs and U.S. government securities. Morgan Stanley has already used DTCC infrastructure to tokenize U.S. equities and Treasuries, showing that the model is moving into production among traditional financial institutions.
Customers are expected to control their own wallet keys, but the tokenized entitlements will still operate within DTC's regulated infrastructure rather than as unrestricted bearer assets. Under the DTC framework, supported networks and wallets must meet eligibility requirements, and DTC retains administrative powers over tokenized positions. Those controls can include minting, burning and transferring tokens when required to correct errors or replace compromised holdings.
Plume joined the DTCC Digital Assets Solutions Industry Working Group in August, but KDS has not said that the Plume blockchain itself has been approved as a DTC-supported network.
Plume Assembles Multi-Entity Regulatory Stack
The broker-dealer fills another part of a regulatory stack Plume has assembled around real-world assets. Kimber Transfer Agency registered with the SEC as a transfer agent in September 2025, allowing it to maintain shareholder records and process issuance, transfers and distributions.
In May, another affiliate, Kimber Digital Assets Bermuda, received authorization from the Bermuda Monetary Authority to operate tokenized investment vaults. The Bermuda license gave Plume a regulated structure for its onchain vault business, while the new U.S. broker-dealer addresses domestic securities distribution.
The company says its Plume Vaults infrastructure had about $250 million in total value locked and approximately $1 billion in cumulative volume as of September 30.
KDS Targets Transaction Revenue and Stablecoin Distribution Channels
KDS expects transaction revenue from commissions and other trading fees, alongside integration and platform charges from wallets, payment applications and broker-dealers that connect customers to its infrastructure.
Stablecoin applications are one targeted distribution channel. Plume argues that users holding dollar-backed tokens increasingly need regulated yield-bearing products if they are to keep capital within blockchain-based financial systems. KDS plans to offer access to products including tokenized shares of registered investment funds.
Competition is already increasing. BlackRock-backed Securitize has expanded from tokenized funds into public equities and financing infrastructure, while WisdomTree and Ondo have developed different models for bringing traditional investments onchain. Securitize's planned River One acquisition shows how tokenization providers are extending beyond issuance into financing and other financial services.
KDS is not live yet, and its initial product list, supported blockchains, pricing and distribution partners remain to be finalized.
FAQ
What did Kimber Digital Securities achieve on November 10?
Kimber Digital Securities secured registration with the Securities and Exchange Commission and membership in the Financial Industry Regulatory Authority as a U.S. broker-dealer, announced November 10. The approval allows KDS to conduct broker-dealer activities connecting investors using self-custodial wallets with securities entitlements tied to assets held through the Depository Trust Company.
How does KDS differ from existing tokenized-stock products?
KDS plans to represent an investor's existing securities entitlement within the U.S. intermediated ownership system rather than issue a separate synthetic token providing only economic exposure to a stock or fund. The token would record a position within the existing securities infrastructure rather than function as a detached wrapper around an asset held elsewhere, retaining economic and investor rights including dividends and voting rights where applicable.
When does Plume expect the KDS platform to launch?
Plume expects the new platform to launch in the first half of 2027. KDS is not live yet, and its initial product list, supported blockchains, pricing and distribution partners remain to be finalized.
